Colombia

Though Latin American bonds offered some consolation to investors on Friday, the relief is likely to be short-lived as the region buckles down to fully face the effects of the coronavirus pandemic.

The Inter-American Development Bank officially postponed its Annual Meeting from March until early September on Tuesday, confirming what many potential attendees had expected.

On what some EM investors described as the worst day for markets since 2008, Latin American bond buyers were left staring at a sea of red as the region’s fixed income markets were stunned into dysfunction by the sharpest fall in oil prices since 1991.

Colombia consumer and payroll lender Credivalores will buy back nearly $155m of its senior unsecured bonds maturing in 2022 after completing a tender offer for the notes.

Credivalores, a Colombian consumer and payroll lender, had to navigate a more cautious bond market on Monday to clinch a five year deal that landed exactly where fellow non-bank lender AlphaCredit had priced a trade last week.

Colombian financial conglomerate Grupo Aval found idyllic conditions on its return to international bond markets on Tuesday after an eight absence, offering a minimal concession to existing notes issued by its largest subsidiary.

Investors saw Colombia’s decision to hit international bond markets on the day a national strike was planned as a statement of intent. But concerns over social unrest, or indeed a challenging fiscal outlook, paled into insignificance as yield hungry investors took the chance to buy into what remains an economic outperformer in Latin America.

Colombia made its usual January bond market outing on Tuesday, unperturbed by protests across the country and capturing strong demand despite some indications of worry about the long-term fiscal picture.

Colombian holding company Grupo Aval could return to bond markets for the first time in eight years after mandating banks to manage investor meetings.

Generation company Termocandelaria Power Limited (TPL) returned to capital markets on Thursday to start Colombian bond issuance for the year. The sovereign is expected to follow suit soon.

Colombia’s largest lender Bancolombia said it wants return to bond markets to finance a buy-back of a senior bond maturing in 18 months.

Termocandelaria Power Limited, the Colombian generation company, is seeking to add up to $200m to its existing bonds and has mandated two banks to lead the reopening.